Rapport explicatif

financial institution focused on infrastructure development.

Article 60. Representatives agreed that, until the Articles of Agreement had entered into force, the Prospective Founding Members would continue to convene Chief Negotiators’ Meetings to provide a broader consultation mechanism for the establishment of the AIIB. Once the Articles of Agreement had entered into force, and until the final date under Article 58, paragraph 1, Interim Arrangements would provide an opportunity for Prospective Founding Members to continue to participate in AIIB governance, pending their completion of the steps for membership. In that period, the Boards would accommodate non-voting representatives as follows, in order to ensure that major decisions will be supported by adequate consultation of all Signatories and reached by consensus to the maximum extent possible.

a. Board of Governors. Each Signatory that has not yet become a member could send a representative to attend meetings of the Board of Governors as an observer.

b. Board of Directors. Signatories could agree on notional constituency groupings, recognizing that actual constituencies would be formed when members’ Governors cast their votes for or assign their votes to a Director. Based on these notional constituency groupings, each constituency would either be represented by a Director if one has been elected by a member or members in the constituency, or, if there is no Director yet for the constituency, by a special Constituency Representative selected by the constituency members through consultations. Constituency Representatives could participate in Board of Directors’ meetings without voting. A Director would informally represent the Signatories in the constituency that had not yet become members, as well as formally representing the Governors who had cast their votes for or assigned their votes to the Director. Each constituency group would be represented by a Director or by a Constituency Representative, but not both.

Once the deadline has passed for Signatories to complete the steps for membership and become members under Article 58, the period to become Founding Members would end. At that point, all Founding Members would participate in AIIB governance under normal AIIB governance arrangements, and these Interim Arrangements would terminate.